Michigan real estate professionals depend on their licenses for livelihood, which raises serious concerns after a DUI arrest or conviction.
A DUI in Michigan can impact a real estate license at application, renewal, or disciplinary review stages. The Department of Licensing and Regulatory Affairs (LARA) considers convictions when assessing character, fitness, and honesty. While one DUI does not guarantee suspension, repeated or serious offenses can trigger sanctions or denial.
This article explains how Michigan law treats DUIs for real estate license holders and applicants, with guidance on disclosure, hearings, and defense strategies.
Michigan Real Estate Licensing Authority
The Michigan Department of Licensing and Regulatory Affairs (LARA), through the Bureau of Professional Licensing, regulates real estate brokers and salespersons. Licensing decisions hinge on statutory requirements and character assessments. Applicants must demonstrate honesty, trustworthiness, and integrity. Criminal convictions, including DUIs (legally termed OWI in Michigan), can factor into these assessments.
For licensed agents, disciplinary oversight comes from LARA and the Michigan Board of Real Estate Brokers and Salespersons. Violations of good moral character standards or criminal conduct can trigger administrative investigations and hearings.
DUI Impact by License Stage
| License Stage | Possible Impact of DUI | Defense/Remedy |
|---|---|---|
| New Application | Conviction disclosed; may delay or deny license | Provide rehabilitation evidence, character references, and proof of sobriety |
| Renewal | Must disclose conviction; risk of disciplinary review | Show compliance with probation, treatment, and no repeat offenses |
| Active License Discipline | Investigation, fines, probation, suspension possible | Seek hearing, argue isolated mistake, present mitigating evidence |
| Reinstatement | Prior DUI may slow approval | Document rehabilitation, treatment, and professional compliance |
How LARA Evaluates DUIs
LARA evaluates DUIs based on recency, severity, repetition, and connection to professional duties. A single misdemeanor DUI is less concerning than multiple offenses or a felony. However, real estate agents are fiduciaries handling client funds, contracts, and confidential information. LARA views substance abuse and criminal patterns as potential risks to the public.
Mitigating factors—such as treatment, counseling, compliance with court orders, and letters of support—can significantly improve outcomes. Lawyers often compile rehabilitation packets for submission at hearings.
Disclosure Obligations
Applicants and licensees must disclose convictions honestly. Failure to disclose can be more damaging than the DUI itself, often leading to denial for dishonesty. The application and renewal forms specifically ask about criminal history. Misrepresentation may lead to immediate denial or revocation.
Disciplinary Actions for Licensed Agents
Michigan law empowers LARA to impose sanctions ranging from reprimands to suspension or revocation. Common outcomes include administrative fines, probationary licenses, mandatory counseling, and compliance reporting. Severe or repeated DUIs can result in full suspension or denial of renewal. Felony DUIs pose the highest risk, especially those involving injury or repeat offenses.
Case Example (Illustrative)
Consider a Michigan salesperson convicted of a first-time DUI with a BAC just over the limit. At renewal, disclosure triggered review. With proof of alcohol counseling, completion of probation, and employer support letters, the license was renewed with no restrictions. In contrast, a broker with two DUIs in five years faced suspension and mandatory monitoring. Outcomes depend on case history and rehabilitation.
Collateral Consequences
DUIs also affect professional life indirectly. Licensees may struggle with reputation damage, reduced client trust, and employment barriers. Brokerages may hesitate to hire agents with convictions, especially in competitive markets. Insurance underwriters and bonding companies sometimes increase costs or refuse coverage after DUIs.
Strategies for Defense
- Hire legal counsel early: Fight DUI charges aggressively to avoid conviction.
- Disclose fully and honestly: Never conceal convictions; dishonesty is worse than the offense.
- Demonstrate rehabilitation: Enroll in treatment, attend AA/NA, complete probation successfully.
- Provide references: Letters from brokers, clients, or community leaders strengthen the case.
- Prepare for hearing: Be ready to explain circumstances, lessons learned, and steps taken.
Frequently Asked Questions
Will one DUI cost me my real estate license in Michigan?
Usually not. One misdemeanor DUI is often manageable with proper disclosure and rehabilitation proof.
Do I have to disclose a DUI arrest?
Generally, only convictions must be disclosed. However, pending charges may still raise concerns at hearings.
What happens if I hide a conviction?
Concealment is grounds for denial or revocation, often more damaging than the conviction itself.
Can a felony DUI end my career?
Felony DUIs pose a serious threat to licensure and often result in suspension or revocation.
Call for a Free Consultation
If you are a Michigan real estate professional facing DUI charges or discipline, call 269-808-8007 for a free consultation. Our defense team helps protect your record and license.
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